In a concurrent lease, a lessor of an existing lease grants a new lease over the same premises for a term commencing before the expiration or determination of the prior lease. The concurrent lease must be expressed to be subject to the prior lease(s) and operates as an assignment of the lessor's reversion for the period that the terms of the two leases run concurrently.
Example: Person A leases Lot 1 to B for 10 years. A then leases the same premises, being Lot 1, to C for 15 years. In this example, A is the lessor, B is the lessee of the original lease and C is the concurrent lessee. As the concurrent lessee, C is assigned A’s reversion for the period that the original lease and concurrent lease overlap.
The original lease must be noted in the encumbrances of the concurrent lease or the concurrent lease must contain a provision clearly stating that it is a concurrent lease of the original lease. With prior approval, applicants should confirm in an accompanying letter that the concurrent lease is a concurrent lease.
NOTE: This dealing type must be lodged as Dealing with Exception and be accompanied by a completed Lodgment Rules Exception form.
A notification: 'Concurrent Lease', is entered under the original lease.
Any dealing affecting the original lease that involves the lessor must be drawn in the name of and be executed by the concurrent lessee or be consented to by the concurrent lessee, i.e:
- a determination of the original lease
- a surrender of the original lease or
- a variation of the original lease.
The concurrent lessee is not required to consent to:
- a change of the original lessor
- a mortgage of original lease
- a sublease of the original lease or
- a transfer of the original lease.
If the original lease is determined or surrendered before the expiry of the concurrent lease, the concurrent lessee is entitled to take possession of the premises as lessee for the remainder of the term.
Staff processing information
A notification is entered under the current lease.
PRIME CODE L
Usual lease entry.
ADD. TRANSACTION UNDR
PRIME CODE code of current registered lease as shown on the Register
PRIME NUMBER number of current registered lease
SUB CODE ULC
DETAILS Concurrent Lease.
Publication Date: June 2025